TransUnion’s quarterly survey explores consumer behaviors and attitudes about current and future household budgets, spending and debt. Discover valuable key takeaways from our Q3 2022 US Consumer Pulse Study. Watch the video on this page or download the report.
Full transcript below
The TransUnion 2022 Consumer Pulse Study. Consumer behaviors and attitudes about current and future household budgets, spending and debt. Consumers personal finances have changed and in our Q3 2022 Consumer Pulse study, we revealed the shifting consumer attitudes and behaviors based on the dynamics of income, debt and identity theft. With this report, we're giving you the detailed analysis and insight about the who, what and why of consumer spending and saving.This intelligence is giving marketers a never before seen glimpse into how Americans are approaching personal economics, both today and in the future. Let's dive in. More Americans said their household income increased than decreased from May to August 2022, and nearly 50% expect their household income to increase by August 2023. However, respondents said their household finances were trending worse due to income, not keeping pace with inflation. Looking more closely at the data, the impact of inflation may be tied to life stages and age. Indeed, younger generations have stated that their incomes increased compared to decreased from this May to August, while older generations indicated incomes stagnated or reduced during that time period. While high home prices, rising, mortgage rates and limited vehicle inventory may be constraining large purchases, many respondents are comfortable with employing credit as a strategy to use to maintain their lifestyle and overall financial goals. In fact, 87% of respondents believe that credit is an important way to achieve financial goals. Yet, as you can see, only 60% say they feel they have sufficient access to credit and lending products, a number that doesn't vary significantly among all the age groups polled. And when it comes to the options. For credit that Americans do have, we now know that people of all ages are planning to take advantage of everything from new credit cards to refinancing options to various types of personal loans. The data in consumer polls indicates that consumers could believe that by combining smart credit strategies with reducing spending on large purchases, they can perhaps keep up with inflation and a possible recession. Consumers appear to recognize the value of monitoring their credit report. In fact, nearly 93% believed monitoring credit was at least slightly important, and 61% reported monitoring their credit at least monthly. Digging in further, we found that more than one in three, 37%, of all consumers reported they conduct the majority of their transactions online. Interestingly, millennials and Gen Z were most likely to say they did so at 41% and 39% respectively. In the area of personal finance and information protection, the percentage of people who reported experiencing digital fraud attempts and falling victim to them was 34 and 9%, respectively, statistically flat from Q2 2022. More than half of people surveyed were concerned about having their personal information exposed in a data breach. And since fraud schemes represent some use of personal information, it's not surprising consumers are protective of their identities. So what does all this mean? Well, for one, there is a generational divide emerging in financial outlook as younger people are more hopeful for what's ahead economically for them. Secondly, the more income younger people possess, the more hopeful they report being for what's ahead economically. Finally, we learned that Americans are getting ready for a recession, with most people believing we're already in one or will be in one by the end of the year. Want even more insights into U.S. consumers and their relationship with finances? Visit TransUnion.com/consumer-pulse-study to download the latest U.S. Consumer Pulse report, past U.S. reports or Consumer Pulse reports from around the globe.
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